Home construction soars to 11-year high


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In 2020, some 28,208 new dwellings were built in Hungary, 34% more than a year earlier and the highest number recorded in 11 years, according to data by the Central Statistical Office (KSH).

In 2020, 6,341 homes were built in Budapest, 8.6% more than in 2019. The number of dwellings put to use increased in every settlement category. The number of new dwellings increased by 55% in towns of county rank, by 31% in other towns, and by 45% in villages. Almost half of the strong growth in towns of county rank was provided by three settlements: Debrecen, Győr, and Szeged, more than 1,000 new dwellings were put to use in each.

District XI accounted for one-third of Budapest housing construction and nearly one-tenth of Hungarian housing construction.

Compared to 2019, the number of new dwellings more than doubled in Northern Great Plain, and strongly grew both in Southern Transdanubia (by 81%) and Southern Great Plain (by 70%). Only two regions experienced a decrease: Central Transdanubia and Northern Hungary, both down by 13%.

The proportion of dwellings built by individuals increased from 41% to 47%, while that of dwellings built by enterprises fell from 57% to 52% compared to 2019.

Some 52% of dwellings put to use in new residential buildings were in detached houses, 39% in multi-dwelling buildings, and 5.9% in resident’s parks.

Floor area averaged 98 sqm in homes put to use, up 1.4 sqm on 2019.

Some 22,556 dwellings were built, down 36% on 2019, dwelling construction permits and declarations show.

In 2020, the number of dwelling construction permits and declarations was remarkably lower than the number of dwellings put to use. The number of building permits was several times higher than that of new homes, a significant turnaround from previous years.

Housing construction sentiment decreased in all settlement categories. Moving towards smaller settlements, the decrease was smaller and smaller: in Budapest, the number of construction permits and declarations decreased by 48%, in county towns by 39%, in other cities by 32%, and in villages by 14%.

Compared to the last year, the number of dwelling construction permits and declarations increased only in one region, Central Transdanubia, by 5.6%. Apart from this only two counties showed a serious increase: Fejér (64%), and Tolna (28%).

Builders used the simple declaration option in 57% of cases, the least in Budapest (13%) and the most in villages (93%).

A total of 11,381 residential buildings are planned to be built, down 20%, issued new building permits show. 81% of them, a total of 9,265 units, are one-dwelling residential buildings.

Some 4,023 permits were issued for non-residential buildings, down 3.4% on a year earlier.


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